Patience Is A Requisite For A Successful Workout.

Patience is a requirement for a successful workout. Time is our friend, it helps soften the blow. It helps us win in the long run.

It is part of the dynamic necessary to change the course of events likely to occur if we don’t adjust the process and change the bank’s direction, helping them understand and accept the fact that they are not going to be repaid and that a compromise is required. These are foreign words and concepts to a banker. While they are becoming more common these days, they so significantly go against what a banker stands for and expects that it takes time to turn the banks around and steer them into cooperating with us.

The first round of objection is expected and understandable. It is a knee-jerk reaction to an unacceptable premise, that the borrower will not pay the loan and expects a deep discount for resolution. This is a bitter pill to swallow for the bank and it must be slowly digested. In fact, the entire process of a workout is time-consuming mostly because bankers must digest the information and eventually come to the conclusion that a workout is the only possible outcome. Until a banker accepts this ultimate requirement, that a workout must occur, it’s a very difficult journey. Once accepted, the process flows much more smoothly but it takes time to get this to happen, sometimes even months.

In fact, in many cases the entire journey is one of working the banker through their emotional trauma until they accept the inevitable result: debt forgiveness and large losses. The problem is, our clients are all in a rush. They want this behind them as soon as possible as it is stressful and the results are very good so they want to experience it as soon as possible.

Patience is a critical part of our strategy. It is important and it supports victory. A patient approach to working with the bank must be taken as we work through our process to reach the end result we need.